Barghuthi sees this as the optimal way to future-proof Jibrel as blockchain moves from a hyped technology to one that is just the functional backbone of existing systems. Further details on the partnership and specifics of the pilot program will be released in the coming weeks. During this period, while the Pledge value is insufficient, the user can exercise the contract at any time, receiving the full value back (including the premium). These are licensed financial entities that aim to use Jibrel technology to deliver cost efficiencies and generate an on-chain transactional profit.
What Else Should You Know about JNT?
- The token page shows information such as price, total supply, holders, transfers and social links.
- In the event that the underlying value of the asset deviates, or the JNT pledge becomes insufficient, the Partner is required to provide additional JNT.
- In the example, the Partner is creating a US$ 10,000 ‘crypto-bond’, with 30 day maturity, and charging a 10% premium for this ‘Forward Contract’.
In the event that the underlying value of the asset deviates, or the JNT pledge becomes insufficient, the Partner is required to provide additional JNT. The user sends 1 BTC (valued at US$ 11,000 at the time) into the smart contract, and receives one US$ 10,000 CryptoDepository Receipt token. Three provided by Jibrel Strategic Partners, and three provided by the Jibrel Network infrastructure / Jibrel DAO. In the event of a crash in the traditional economy, the Jibrel AG Fund will maintain a sufficiently diverse and robust off-chain portfolio (e.g. US Treasury Bills, CDs, etc.) and increase its digital asset holdings (on-chain).
Understanding how the Jibrel Network, Jcash and JNT work
“Smart contracts are a way to execute certain commands in a decentralized way, and be able to remove trusted intermediaries, or middlemen, from the equation.” Ten percent of these, 20 million JNT, were allocated for the token presale and 60 percent, or 120 million, for the token main sale. The team receives 15 percent, or 30 million JNT, while advisors and partners get another 10 percent, 20 million JNT. JNT will be listed on multiple exchanges to make it easier for users to acquire.
Jcash Pilot Program & Commercial Roll-out
“A huge benefit of smart contracts that people don’t touch on enough is how it removes subjectivity,” Barghuthi said. “And you can imagine why that would be something incredibly useful with some of the bloated processes or bureaucratic processes in financial services.” For a refresher on smart contracts, take a look at this piece in Motherboard. “Blockchains are a database, a new way of storing data in a particular contract,”Barghuthi said.
Jibrel Build-out
Much has been made of all the ways blockchain and cryptocurrencies can potentially displace existing infrastructure. For all the ways it can’t—and there are many—Jibrel is leading the way in integrating the cutting edge technology with traditional assets, laying the foundation for blockchain implementations on a global scale. Each CryDR represent a Smart Forward Contract between a liquidity provider and Network User. With the Jibrel DAO smart contracts governing the mechanisms that facilitate the user to redeem the CryDR for the underlying value at a future date, lawfully and compliantly. The Jibrel Network is an initiative from Jibrel AG and Qubist Labs Inc.
Ethereum introduced the concept, but now a host of other blockchain networks employ them, including Cardano, NEO, TRON, Qtum, among many others. Each of these networks implements smart contracts through their own “in-house” tokens. What Jibrel is doing is figuring out how you could enable this same system, but with traditional currencies.
An additional buffer is required to account for price movement in JNT, as well as the price of the asset the contract is denoted in (in this case, USD). As the token appears on exchanges across geographies, Jibrel Network Token (JNT) will be able to deliver its utility and the team will be able to undertake pilot programs. This post discusses the underlying mechanics of the network, the required set-up phase, and the on-boarding process of network participants. Jibrel AG is a registered entity in Zug, Switzerland and is responsible for the development of the network. Jibrel team has undertaken the necessary legal and compliance measures to ensure a fully compliant token sale. Jibrel is gradually building the infrastructure to automate the consumer banking funnel.
In Q3, it will deploy an institutional-grade solution that banks and other types of financial institutions can use to directly tokenize then transact using their off-chain assets. jibrel network token In Q4, it will launch the Jibrel DAO and the network will begin its full decentralization, known as Project Pinocchio. The Jibrel Network chose to create a dedicated token like JNT instead of relying on ETH or BTC because of their extreme volatility. It would have been too challenging to keep fiat currency liabilities while holding the uncorrelated and volatile crypto-assets. By creating JNT, by contrast, there is a closed system that can self-balance. To create this contract, the Partner pledges value in the form of JNT, by locking the JNT in a smart contract.